Cash for Clunkers is intended to infuse the economy with much needed income for the auto industry. Why however did Congress fail to mandate that the cash discount would be for domestic car makers or foreign car selling cars only built in America? The car salesman at the car lot would be the only American profiting from the sale of a Mercedes Benz (or any other car manufactured outside the states).
Although some American manufacturers build cars in Canada, Mexico and Australia, at least the American manufacturer profits from the sale of a Ford, Chevrolet or Chrysler. Honda, Toyota and other manufacturers now have American plants that employ Americans. Would it not then be wise to limit the cash incentives (paid ultimately by the AMERICAN taxpayer) to domestic manufacturers or foreign manufacturers whose car is built in America.
Are all members of Congress REALLY this senseless? Using taxpayer money to infuse money into Germany, Japan and South Korea is senseless. Rather embarrassing that lawmakers in Germany, Japan and South Korea are breathing a sign of relief and cashing in every day.
March 26th, 2011 at 1:33 am
Even republican senators call this “real stimulus”
The american public has a favorable opinion of the program- it’s more popular than the government estimated.
It’s a success
March 26th, 2011 at 1:33 am
Stupid, another exercise in moving money from one pocket to another. What do these geniuses think will happen when this artificial “stimulation” is over? Demand falls off a cliff, of course.
March 26th, 2011 at 2:29 am
Such a senseless thing. First of all they are smashing all the clunkers and most of them are still good it’s just they need some work. Not all people are rich and can afford good cars. Obama sucks.
March 26th, 2011 at 3:10 am
I’m assuming that there is a regulation that prevents certain people from qualifying for this plan.. Most people who actually have a “junker” probably won’t be buying a benz, even with the $4,500..
Celexa - Welcome to the 21st century.. Nowadays, cars are recycled.. Everything goes back to use.. It’s not a waste anymore..
March 26th, 2011 at 3:56 am
Of course you are right. It would have been nice to keep the cash here. But do you really think our current government (all of them) think that far ahead?
Also how many people are taking out car loans now that they really can’t afford? How many of them will be laid off in the coming months and have their new cars repo’d? Forclosures, repos, what’s next?
March 26th, 2011 at 4:34 am
It’s pure stupidity for many reasons.
1. It encourages people to get rid of cars that run and are paid for. In return they sign up for thousands in new debt. Have we not learned our lesson about excessive debt? Does anyone remember what got us into this recession?
2. The failed to properly plan for the costs of the program. Is the government really shocked that they hand out free money and there’s a huge response? That’s scary.
3. The perfectly okay vehicles are being destroyed. The parts are being loaded on freighters and shipped off to China. There the materials will be made into products. Those products will be loaded up on ships and sent back to the US to be sold. That sure makes for good economic and environmental sense…
4. People with the really old clunkers that can’t afford new cars now won’t be able to upgrade to more efficient used cars because they’ve all been traded in and destroyed. So instead, they’ll just keep their car going using as many gallons of oil it takes on a daily basis as it leaks all over.
5. Scrapyards are getting the shaft in that they can’t even sell the engines and core parts. Even the rest of the car has a limited time period after which the parts can’t be sold.
6. People like it because the vast majority of people can’t seem to see past their own wallet. There’s a bigger overall picture that’s more important in the long run than what’s in your wallet today.
7. The program requires you buy a NEW car. New vehicles are the worst investments you can ever make. Any intelligent person knows that buying a recent model year that’s 1 or 2 years old is the best option for getting a newer reliable car without tossing money out the window. This program is reinforcing the public’s acceptance of bad debt. Again, the debt culture got us into this mess. We need to get away from debt.
The government’s patting themselves on the back as though they discovered some major breakthrough. Exactly what is so special about being able to hand out free money and witness people taking it?